But Pellegrini now has the green light to seal the move, after the Spanish side this morning confirmed the signing of Ajax defender Toby Alderweireld for £7million on a four-year contract.

Demichelis, 32, will be a welcome addition to a City squad that has been ravaged by defensive injuries in the early weeks of the season.

City will be without Vincent Kompany until the end of September, while Micah Richards will only return to full training during the international break.

However, Matija Nastasic will return to the team and partner Joleon Lescott at the heart of City's defence for today's game at home to Hull.

City did consider a move for Porto defender Eliaquim Mangala but were deterred by the £30million asking price.

It is anticipated that Demichelis will be the only City addition in the final days of the transfer window, joining Fernandinho, Jesus Navas, Alvaro Negredo and Stevan Jovetic as Pellegrini's summer spending passes the £100million mark.

Crocked: Manchester City's Vincent Kompany lies injured during the match against Newcastle United